![Put Options](/_next/image?url=https%3A%2F%2Fcdn.sanity.io%2Fimages%2F46f2xaz7%2Fproduction%2F8198bf80f685fce94ab623a5c871a5c5a94cb799-1920x1080.jpg%3Fauto%3Dformat&w=3840&q=75)
Put Options
A put option is a financial contract that gives the holder (buyer) the right, but not the obligation, to sell a specified quantity of an underlying asset (such as a stock) at a predetermined price (known as the strike price) within a specified period of time (until the expiration date). In exchange for this right, the buyer pays a premium to the seller (writer) of the put option.